Overview

Bank of China provides a loan to Korean Air to fund a financial lease by ICBC Leasing of one Boeing 747-8 aircraft

Commitment Year•2017Country of Activity•KoreaDirect Recipient Country of Incorporation•KoreaSector•Transport And StorageFlow Type•Loan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date: Apr 19, 2017

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownership

Funding agencies

State-owned Commercial Banks

Bank of China (BOC)

Receiving agencies

Private Sector

Korean Air Lines Co., Ltd. (KAL)

Collateral providers

Private Sector

Korean Air Lines Co., Ltd. (KAL)

Loan description

Bank of China provides a loan to Korean Air to fund a financial lease by ICBC Leasing of one Boeing 747-8 aircraft

Interest type•Unknown

Collateral

The loan was secured by the Boeing 747-8 aircraft in question.

Narrative

Full Description

Project narrative

On April 19, 2017, financial close was reached on a deal in which the Bank of China (BOC) entered into a loan agreement with Korean Air Lines Co., Ltd. (KAL) — the flag carrier airline of South Korea headquartered in Seoul and listed on the Korea Exchange — to fund a financial lease by ICBC Financial Leasing Co., Ltd. (ICBC Leasing) of one Boeing 747-8 aircraft for Korean Air. The BOC loan is captured by Record ID#108516. The ICBC Leasing is captured by Record ID#108516. The loan was secured by (i.e. collateralized against) the Boeing 747-8 aircraft in question. The proceeds were to be used to the borrower to support the acquisition of the aircraft for the finance lease from ICBC Leasing.